The government has announced it will put £250m into Transport for London (TfL) next year to invest in new projects.
Among the plans, the capital’s public transport network is expected to roll out new trains on the Piccadilly Line – although they won’t be introduced to the network until 2025.
TfL welcomed the funding, saying it was “grateful for the support”.
But it still claimed the network was being hit by a “continuing shortfall in funding” from Whitehall to pay for its day-to-day operations.
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TfL has been struggling to make ends meet since the pandemic, and its current emergency funding deals from the Department for Transport were due to end in March.
The organisation said it was facing a “funding cliff edge” as a result of Chancellor Jeremy Hunt failing to announce any new support when he delivered his autumn statement last month.
Commenting on the new investment from government – which is not allowed to be spent on daily operations – London’s transport commissioner Andy Lord said: “It is good news that we have now reached an agreement with the government on the capital support that they will provide over the next year, and we are grateful for the support.
“However, we will now need to reassess our recent draft business plan and address the impact of the continuing shortfall in funding. That work is under way so that we can confirm as soon as possible what we will deliver for London.”
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Rail minister Huw Merriman said the £250m deal would have “a tangible, positive impact, not just for people travelling in and around the capital, but also the millions who visit every year”.
“It is fair for Londoners and taxpayers, underpinning projects that will support hundreds of skilled manufacturing jobs in our vital rail sector,” he added.
“We have invested billions into the capital’s transport system in recent years. This investment must be well-managed in a way that doesn’t unfairly burden the pockets of taxpayers and motorists.”